Quick Market Update | Strong Gyrations In The Market Present Opportunities And Risks

Summary

• Markets are reacting to the rise in long-term interest rates.  Cash flows from companies are discounted back by these rates.  As they rise, cash flow value falls.

• This is especially acute in the technology sector where valuations are very rich.  The interest rate moves has an outsize effect on them because P/Es are so high.

• Relative value trades in…